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2013 (3) TMI 449 - HC - Service TaxAppeal against the order of CESTAT directing deposit of 1 crore as pre-deposit - inclusion of reimbursement of expenses - valuation - extended period of limitation - held that:- the issue of levying and charging service tax on reimbursable expenditure has been settled by the decision of this Court in Intercontinental Consultants & Technocrats Pvt. Ltd (2012 (12) TMI 150 - DELHI HIGH COURT). Any how even if we assume that the expenditure, which has been reimbursed to thepetitioner could be the subject matter of levy of service tax, that amount would have to be restricted, prima facie, to the sum of ₹ 14.22 crores and not to the figure of ₹ 37.55 crores which has been taken by the revenue. This is so because we do not find any material which would indicate that the petitioner received anything in excess of ₹ 14.22 crores by way of reimbursement from its clients. The figure of ₹ 37.55 crores includes the direct expenditure incurred by the petitioner for which no reimbursement was claimed nor given. The petitioner has been able to make out a very good prima facie case that no additional tax is payable by it in respect of the service rendered by it. - However, since the petitioner has already paid a sum of ₹ 40 lacs, following the directions of the Tribunal, we are not inclined to interfere with that part of the order. - Insofar as the balance ₹ 60 lacs is concerned, stay granted.
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